Yes and no, says Peter Bill. As a look at London's delightfully nicknamed towers - the Shard, the Walkie-Talkie, the Cheesegrater - shows, it may take years, and multiple economic cycles for skyscrapers to recoup their investment.
"[W]hy do developers bother building skyscrapers?" asks Peter Bill. An examination of the occupancy rates for four of London's newest towers "show it to be a risky game," he says. "Conception to completion can take more than a decade, ensuring the project is blighted by at least one economic downturn. The four towers examined above have yet to make a bean although all should when eventually filled."
“It’s much better to be the second owner of a tower, not the first,” says Digby Flower of Cushman & Wakefield. “The problem is you never know when in the cycle they will be delivered. But the big thing about towers is they have a 100-year lifespan and get reincarnated every 25 years.”
Bill compares the costs versus returns for vertically- and horizontally-oriented large buildings. "So a groundscraper costs £100 million to build and ends up worth £375 million," he concludes. "A skyscraper costs £125 million to build and is then worth £325 million."
"Why build skyscrapers? Lack of land, obviously. But there seems to be some sort of man thing going on here as well, doesn’t there?"
Read the full story: Property: High-rises strive to meet lofty aims
When London Tried to Outdo the Eiffel Tower
After Gustave Eiffel turned down an opportunity to build a landmark tower for London, railway magnate Sir Edward Watkin held a world-wide competition to design the icon instead. "Stevie SW9", at Brixton Buzz, explores some of the spectacular entries.
Bike use in London grew by 43% since 2019, but car use remains roughly the same
The city's efforts to reduce car use have stalled despite ambitious programs like congestion pricing and low-traffic neighborhoods.
Beavers save London Tube station from flooding
A small group of beavers is increasing biodiversity and creating cost-free flood mitigation infrastructure.
Planetizen Federal Action Tracker
A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.
Amtrak, CN end decades-long dispute with eight-year agreement
The new operating agreement establishes an updated framework for the companies to work together, including processes to resolve disputes.
Judges permit Denver to divert 77,000 acre feet from the Colorado River for reservoir expansion
Overuse and climate change have caused the Colorado River’s water levels to plummet.
NYC DOT wants faster, more permanent street upgrades
The city is examining ways to build more concrete infrastructure without getting entangled in 'decades-long' projects.
'Something we’ve never seen before:' rising utility rates could strain city finances nationwide
Data centers, climate change and other factors have caused utility rates in the United States to increase by 38% since 2020.
Trump to overrule local leaders, lease millions of acres of America’s Pacific Island territories’ seafloors to mining companies
International law says that the Indigenous people of America’s territories have a right to prior and informed consent regarding projects that impact their countries.
FREE Course: Walkable City 1: Why Walkability?
After describing his path towards focusing on walkability as the essence of good planning, Jeff Speck marches through his five principal reasons for making more walkable places.
Reinventing Malls: Planning Alchemy—Turning Gray Fields Into Gold
The course focuses on the opportunities and imperatives that shape reinvention of mall sites.
Harvard University Graduate School of Design
KFH Group Inc.
Greater Baltimore Committee
The Architects Foundation
University of Cincinnati Online
The Pocatello Development Authority
The Urban Renewal Agency of the City of Pocatello